How Long Will TOMO’s Upward Trend Continue? [Premium Analysis]

Since the beginning of December, the TOMO price has increased by a massive 180%. While the rally stalled in December 15-24, it began another impulsive move the next day that is still ongoing. The same day, TOMO announced that it was listed on the MXC platform, an event that could have aided the price pump.

#MXC will list @TomoChainANN, and open trading for $TOMO/USDT pair on the main board. 🔥

Timeline:
⏳
Deposit: 12:00 (UTC+8), Dec.27
Trading: 20:00 (UTC+8), Dec.27
Withdrawal: 20:00 (UTC+8), Dec.27

Find more: https://t.co/7rnsthZg31#MXC_Fans #Crypto #Blockchain pic.twitter.com/mdtX9ZbupD

— MXC Fans (@MXC_Fans) December 26, 2019

Well-known trader and analyst @devchart stated that the TOMO price is in the process of making another breakout. However, in order to be wary of fakeouts, he will wait for a price close above the current resistance level.

$TOMO
4h TF

Another breakout attempt from #TOMO.
Will want to wait and see a close above that level or a retest.
Beware of previous fakeouts.#Alts pic.twitter.com/PFaBZqUo7s

— Devchart 👨🏻‍💻 (@devchart) December 25, 2019

Will the breakout attempt be successful? If so, where will the price go to next? Let us know your thoughts in the comments below.

Current Movement

Since June 2019, the TOMO price had been facing resistance at 7000 satoshis. On December 14, the price broke out above this area and validated it afterward as support on December 23. Currently, it has almost reached the wick highs of December 14 at 1012 satoshis. The next resistance areas are found at 1100 and 1550 satoshis. Looking at technical indicators, we can see that both the RSI & the MACD have begun generating bearish divergence, albeit the divergence trend-line has been broken in the RSI. On the other hand, the price has moved way above the 100- and 200-day moving averages (MA), which are close to making a bullish cross. Going just by these long-term indicators, we can assume that the price has begun a new upward trend, but the current rally has lost its power. Therefore, we would expect the price to make a double top at the current level, or slightly higher, inside the resistance area at 1100 satoshis before decreasing.

Elliott Formation

Looking at the movement since the beginning of December, it has all the characteristics of a five-wave Elliott formation. The first wave was barely noticeable and had only slightly higher than average volume. The third one was the strongest and had the highest volume. The current upward move (fifth wave) has had smaller volume than the third one. A maximum target for the fifth wave would be at 1250 satoshis. Afterward, a corrective period should follow. The correction is likely to follow on A-B-C formation and end near the previous breakout level at 700 satoshis. To conclude, the TOMO price is likely finishing its fifth and final upward wave, before a corrective period ensues. We expect this wave to reach a maximum of 1250 satoshis.